TIGER INTERNATIONAL RESOURCES ANNOUNCES PHILIPPINE GOLD PROPERTY ACQUISITION
Tiger International Resources has signed an agreement, dated Sept. 19, 2003, to acquire the Esperanza gold project in the Philippines, located in the north area of the Philippines near Baguio City.
The terms of the acquisition are that Tiger owns 90 per cent of the project and the vendor, Pan Asia Exploration Services Inc., owns 10 per cent, and that Tiger will finance the exploration, development, mining exploitation and government requirements to bring the project to feasibility within 24 months.
Tiger shall pay $18,000 (U.S.) by Sept. 19, 2004, to Pan Asia for expenses and consideration. A payment of $1.50 (U.S.) per troy ounce of gold reserve, to a maximum of $4.5-million (U.S.), as defined by a feasibility study, is payable to Pan Asia within six months of receipt by Tiger of the final feasibility study. Should financing be unprocurable for this payment, the payment shall be made from cash flow from production within five years. Both parties shall use their best efforts to buy out an existing 2.5-per-cent royalty agreement on the project.
Pan Asia warrants that it holds 100 per cent of the mining rights, title and interest to the Esperanza gold project, and holds geological records and reports of prior exploration which it will share with Tiger.
Tiger management is aware of previous exploration having been conducted on the Esperanza gold project, including drilling and sampling by BHP/Billiton. The region is a known gold-bearing area within the major Metallongenic province of the central Cordillera of Luzon in the Philippines. A number of world-class gold deposits are located in this region, including Acupan (six million ounces of gold produced), which is located three kilometres north of the Esperanza gold project. Details of this information will be reported to the market as it comes to hand.
